Cheshire-headquartered NWF Group, a specialist distributor of fuels, food and feeds across the UK, has acquired North Yorkshire-based Northern Energy Oil to grow its fuels distribution business.
Northern is a 42 million litre fuel distributor operating five sites in North Yorkshire, Northumbria and Lincolnshire, with a largely domestic customer base. The acquisition increases the group’s presence in the North-East of England, where NWF is currently underrepresented. Northern will increase NWF’s total fuel volumes by about six per cent on a pro forma basis.
The total consideration for Northern is £8.3 million.
In the 12 months to 31 August 2024, Northern generated revenue of £35.1 million, EBITDA of £0.6 million, profit before tax of £0.1 million and had period end net assets of £2.7 million.
Chris Belsham, CEO of NWF Group, said: “We are delighted to announce the acquisition of Northern, which represents an excellent example of NWF’s strategy at play to consolidate the highly fragmented fuels distribution market.
“This acquisition, our first since Geoff Boorman in 2023, demonstrates our intent to pursue attractive, earnings accretive transactions, consistent with our strong and established track record. Our pipeline of potential fuels acquisitions remains active, supported by our robust financial position. I would like to welcome our new Northern colleagues to the Group.”
